Reward and Satisfaction: Keeping hospitality employees loyal

Abstract

Employee loyalty is influenced by job satisfaction which stems from various factors such as reward, work environment, or leadership. Due to the importance of loyal employees in maintaining the competitive advantage of organisation, this study examines how reward in upper-upscale hospitality organisations in Selangor influences job satisfaction and employee loyalty. Structural equation modelling using SmartPLS found significant paths between financial rewards, job satisfaction, and employee loyalty. The same could not be said for non-financial rewards. The findings provide insights into how hoteliers can strategise their financial reward and maximise non-financial reward usage to retain the employees, especially during turbulences.

Keywords: Financial reward; non-financial reward; job satisfaction; employee loyalty

eISSN: 2398-4287© 2021. The Authors. Published for AMER ABRA cE-Bs by e-International Publishing House, Ltd., UK. This is an open access article under the CC BYNC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer–review under responsibility of AMER (Association of Malaysian Environment-Behaviour Researchers), ABRA (Association of Behavioural Researchers on Asians/Africans/Arabians) and cE-Bs (Centre for Environment-Behaviour Studies), Faculty of Architecture, Planning & Surveying, Universiti Teknologi MARA, Malaysia.

DOI: https://doi.org/10.21834/ebpj.v6i17.281